Latest News

Bitcoin Correction On Cards? Crypto Expert Warns Potential ETF Approval Could Lead To ‘Sell The News’ Event


Bitcoin Correction On Cards? Crypto Expert Warns Potential ETF Approval Could Lead To ‘Sell The News’ Event By Benzinga

Breaking News



Published Dec 24, 2023 16:55
Updated Dec 24, 2023 18:10

© Reuters. Bitcoin Correction On Cards? Crypto Expert Warns Potential ETF Approval Could Lead To ‘Sell The News’ Event

Benzinga – King of cryptocurrency Bitcoin (CRYPTO: BTC) has had a stunning bull run in 2023. Anticipating approval for Bitcoin ETF, the cryptocurrency’s market capitalization has surged 164% in 2023 so far, which is an increase of $539 billion.

Now, a leading cryptocurrency trader thinks there is a possibility of a considerable drop in Bitcoin value.

What Happened: Renowned cryptocurrency expert DonAlt asserts that the sanctioning of a spot-based Bitcoin ETF could result in heightened Bitcoin price fluctuations.

DonAlt anticipates that Bitcoin might briefly rally following the ETF news, but a significant correction would ensue.

“I think the news is going to be a sell-the-news event. You might just wick, like maybe we wick to the upside on the ETF announcement toward $45,000, $46,000, $47,000 maybe $48,000 something like that,” he said.

“Then I could see a 10%, 20% or 30% weekly wick to the downside,” he added, saying that the Bitcoin ETF approval could actually be a “sell-the-news” event.

See Also: Memecoin Madness: Solana Degen Turns $92 Into $1.5M In 16 Days Trading Silly Token

Despite predicting a sharp dip after the ETF approval, DonAlt maintains that the entities backing the ETFs could drive Bitcoin’s subsequent ascent.

He argued that major firms such as BlackRock Inc. (NYSE:BLK) wouldn’t let the cryptocurrency fade post-ETF announcement and might acquire Bitcoin in bulk to prevent it from becoming a “complete joke.”

Why It Matters: The potential approval of Bitcoin ETFs has been a hot topic in the crypto community recently.

The remarkable 160% surge in Bitcoin’s market capitalization in 2023 was fuelled by investor optimism around this possibility. The decision, expected by Jan. 10, might trigger a “demand shock” in the market, according to MicroStrategy co-founder Michael Saylor.

The long-awaited launch of the spot Bitcoin ETF is nearing, stirring significant anticipation and strategic planning in the cryptocurrency market.

Considering these factors, the predicted correction post-ETF approval could be a pivotal event in the cryptocurrency market, potentially impacting Bitcoin’s future trajectory.

Price Action: At the time of writing, BTC was trading at $43,616.73, up 0.05% in the last 24 hours, according to Benzinga Pro.

Read Next: Bitcoin, Ethereum, Dogecoin Surge Post Jobless Claims Data

Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.

Photo by BUTENKOV ALEKSEI on Shutterstock

© 2023 Benzinga does not provide investment advice. All rights reserved.

Read the original article on Benzinga

Bitcoin Correction On Cards? Crypto Expert Warns Potential ETF Approval Could Lead To ‘Sell The News’ Event

Our Apps

Terms And Conditions
Privacy Policy
Risk Warning
Do not sell my personal information

© 2007-2023 Fusion Media Limited. All Rights Reserved.

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.

Getting The Best Price On One Gold – Understanding Your Options

Previous article

I inherited a $300,000 bank account. When I pay taxes on the interest, would my spouse be entitled to a share of the account if we split?

Next article

You may also like


Leave a reply

Your email address will not be published. Required fields are marked *

More in Latest News